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>if it were correct all businesses would always strive to buy their real estate as soon as they could afford Unlike people, businesses do not reach a certain a
by FooHentai 9y ago
>if it were correct all businesses would always strive to buy their real estate as soon as they could afford
Unlike people, businesses do not reach a certain age then lose their capacity to earn (retire). A business can carry the cost of their leases as an operating expense, where individuals who do this will hit a roadblock when they retire as their operational funding is no longer able to cover the cost of rent.
There are of course exceptions for particularly high earners who manage to build up sufficient funds to be able to perpetually rent, even sometimes without drawing down on their principle savings. But this is far from attainable for most.
So equating the two is not valid.